Expert speak – sector impact of COVID19 and central bank liquidity

What is the sector impact of recent developments – COVID19 and the ensuing central bank driven liquidity? In this weeks #KuveraInsights, our Founder & CEO, Gaurav, discusses reading the signs on the wall in equity investing with Ambareesh, Senior Market Analyst and Vishal, Senior Associate Editor, Business Standard.

 

 

Debt mutual funds saw inflows of Rs 63,665 crore in May, a jump of 46% from Rs 43,431 crore in April. Liquid funds witnessed the most traction within the debt category with inflows of Rs 61,870 crore. Net outflows from credit risk funds stood at Rs 5,173 crore in May, a significant drop from Rs 19,000 crore in April.

 

Mutual fund industry added 6.12 lakh folios in May taking the total number of folios up from 9.04 crore to 9.1 crores. While equity and equity-linked saving schemes saw an addition of 3.22 lakh folios, debt oriented schemes added 0.31 lakh in this period.

 

Source: AMFI

 

The Supreme Court has decided to transfer all ongoing cases related to the Franklin e-voting process to Karnataka High Court. The apex court has stated that it would refrain from intervening in the various petitions that are being heard in lower courts. SEBI had earlier appealed in Gujarat High Court to shift the case from a single-judge bench to another bench in the same court. This case too, would now be heard in the Karnataka High Court. The Supreme Court also said that the cases should preferably be heard within three months.

 

Index Returns

Index 1W 1Y 3Y
NIFTY 50 2.7% -12.3% 2.0%
NIFTY NEXT 50 0.8% -5.0% -1.8%
S&P BSE SENSEX 2.8% -11.1% 3.5%
S&P BSE SmallCap 3.6% -11.7% -7.8%
S&P BSE MidCap 1.6% -11.3% -4.7%
NASDAQ 100 3.6% 30.4% 20.1%
S&P 500 1.9% 5.8% 8.1%

Source: BSE / NSE

 

Top 5 best performing funds

Name 1W 1Y 3Y
Franklin India Feeder US Opp… 5.9% 31.5% 24.1%
ICICI Pru Banking & Financial … 5.2% -28.6% -5.6%
Nippon India US Equity Opp 4.9% 20.8% 19.5%
ABSL Banking & Finan… 4.7% -26.7% -5.2%
SBI Banking & Financial Services 4.7% -19.1% 3.3%

Source: Kuvera.in

 

Top 5 worst performing funds

Name 1W 1Y 3Y
HSBC Brazil -5.1% -24.3% 1.3%
DSP World Gold -5.1% 44.9% 13.9%
DSP World Mining -2.7% 9.3% 12.8%
IDBI Gold -2.3% 43.0% 16.6%
PGIM India Euro Equity -0.9% 11.9% 6.0%

Source: Kuvera.in

 

What Investors Bought

We saw the most inflows in these 5 Funds –

Name 1W 1Y 3Y
Parag Parikh Long Term Equity 2.0% 5.9% 9.2%
Axis Bluechip 2.0% -3.1% 9.4%
UTI Nifty Index 2.7% -11.7% 3.0%
Edelweiss Arbitrage 0.0% 6.7% 6.9%
Mirae Asset Emerging Bluechip 3.2% -2.6% 4.4%

Source: Kuvera.in

 

What Investors Sold

We saw the most outflows in these 5 Funds –

Name 1W 1Y 3Y
Nippon India Arbitrage 0.1% 6.3% 6.9%
Kotak Equity Arbitrage 0.0% 6.1% 6.6%
BNP Paribas Arbitrage 0.0% 6.4% 6.7%
L&T Arbitrage Opportunities 0.0% 6.3% 6.7%
Tata Banking & Financial Serv 3.7% -15.8% 1.7%

Source: Kuvera.in

 

Most Watchlisted Fund

Top 5 funds added to watchlist by Kuverians

Name 1W 1Y 3Y
Franklin India Feeder US Opp… 5.9% 31.5% 24.1%
Axis Bluechip 2.0% -3.1% 9.4%
ICICI Pru US Bluechip Equity 4.1% 25.3% 18.2%
Parag Parikh Long Term Equity 2.0% 5.9% 9.2%
Axis Long Term Equity 0.9% -3.8% 5.8%

Source: Kuvera.in

 

Top ELSS funds

Name 1W 1Y 3Y
Quant Tax 4.4% -0.6% 2.6%
Mirae Asset Tax Saver 3.3% -5.0% 5.5%
DSP Tax Saver 3.1% -6.7% 2.2%
Baroda Elss 96 B 3.0% -10.8% -3.2%
Union Long Term Equity 2.8% -5.5% 1.2%

Source: Kuvera.in

 

 

Movers & Shakers

1/ UTI Mutual Fund has appointed Imtaiyazur Rahman, Acting Chief Executive Officer as the permanent Chief Executive Officer of AMC.

2/ Nippon India Mutual Fund has appointed Kazuyuki Saigo as an Associate Director on the Board of Nippon Life India Asset Management Ltd.

3/ Principal Mutual Fund has appointed Venkata Surya Bharat Ravuri as Managing Director on the Board of Principal Asset Management Private Limited.

 

Quote of the week:

 

 

Here’s to the crazy ones.

The misfits. The rebels. The troublemakers.

The round pegs in the square holes. The ones who see things differently. They’re not fond of rules. And they have no respect for the status quo. You can quote them, disagree with them, glorify or vilify them.

About the only thing you can’t do is ignore them. Because they change things. They push the human race forward. And while some may see them as the crazy ones, we see genius.

Because the people who are crazy enough to think they can change the world, are the ones who do.

: Apple Inc

 

 

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